(CNN) - Sen. Chris Dodd's announcement that he is retiring follows an illustrious career, but one that has recently been overshadowed by controversies, political woes and personal tragedies.

"I love my job as your senator. I always have, still do. However, this past year has raised some challenges that insisted I take stock of my life," the Democratic senator said in front of his Connecticut home Wednesday.

During this session of Congress, Dodd was at the center of what he called the "two most important issues of our time": health care and financial reform.

If history is any guide, Democrats now face an uphill struggle to maintain their 60-seat supermajority in the Senate.

Washington (CNN) - 2010 has opened on an unsettling note for Democrats in the U.S. Senate.

Connecticut's Chris Dodd and North Dakota's Byron Dorgan - two longtime power players in the chamber - have announced their intention to step down at the end of the year. If history is any guide, the party now faces an uphill struggle to maintain its 60-seat supermajority.

Failure to do so could have serious ramifications for President Obama as he tries to look past the health care debate and tackle global warming, ballooning budget deficits and a range of other politically contentious issues.

The fight over health care reform has clearly demonstrated that 60 votes is now the minimum threshold for passing major legislation through the Senate. Anything less leaves the majority party at the mercy of a minority increasingly willing to employ the filibuster to grind the legislative gears of the Senate to a halt.

(CNN) - Sen. Joe Lieberman, Chris Dodd's fellow Connecticut senator, issued a statement hailing Dodd's retirement as the end of a "remarkable era of service in the Senate."

Full statement:

“Chris Dodd has been a genuinely great Senator for our state and country, and a close and valued friend and colleague for me. His retirement ends a remarkable era of service in the Senate by two generations of the Dodd family, beginning with his father Tom who was elected more than a half century ago in 1958.

“Chris Dodd has been an unusually skillful and productive legislator and leaves a great legacy of accomplishment that has improved the lives of millions of American families and children. I am sad for our state and country, and for myself frankly, that Chris is leaving the Senate but I am happy for his family that he will have more time to spend with them now. And I know that his service to America and our friendship will continue in different ways in the years ahead.

“Senator Chris Dodd will leave the Senate in January 2011 with the knowledge that he has made a difference that will last in the lives of his constituents and his country. For that, we are all grateful.”

He had been winning congressional elections in his state since 1974, but he's recently been considered one of the most vulnerable Democrats seeking re-election in 2010. Dodd has been trailing likely Republican challengers in recent polls, even though Connecticut typically leans Democratic.

Blumenthal is expected to announce his bid for Senate at a news conference at Connecticut Democratic Party headquarters in Hartford Wednesday afternoon.'

Dodd, a five term Democratic senator, plans to announce his retirement Wednesday, two sources close to the lawmaker told CNN. He plans to announce the decision at a news conference just two and half hours before Blumenthal's scheduled event. Dodd, 65, had been considered one of the most vulnerable Democrats seeking re-election in 2010.

The 63-year-old Blumenthal has been Connecticut's attorney general since 1990 and served in the state legislature from 1984 to 1990.

Sen. Chris Dodd, D-Connecticut, plans to announce his retirement, two sources close to the lawmaker told CNN.

Washington (CNN) - Sen. Chris Dodd, D-Connecticut, plans to announce his retirement, two sources close to the lawmaker told CNN.

A news conference is planned for Wednesday to announce the decision, one of the sources said.

Dodd, 65, had been winning congressional elections in his state since 1974, but has recently been considered one of the most vulnerable Democrats seeking re-election in 2010. He has been criticized for ties to the financial industry, and several formidable challengers have been vying to challenge him in the November election.

As Connecticut voters remain wary of Sen. Chris Dodd, one state Democrat is openly suggesting the five-term senator abandon his re-election bid 'for the good of the party.'

(CNN) - As Connecticut voters remain wary of Sen. Chris Dodd, one state Democrat is openly suggesting the five-term senator abandon his re-election bid "for the good of the party."

"Chris has had Obama in for him, Biden in for him, a lot of TV ads and they haven't moved the numbers," former Connecticut Democratic Party Chair Ed Marcus told local television station WFSB. "Rightfully or wrongfully the perception within the voting public in Connecticut is just negative toward Chris."

A recent Quinnipiac poll suggests Dodd faces an 11-point deficit against Rob Simmons, one of several Republicans vying for the party's nomination to face Dodd. The poll also suggests Dodd would loose to Republicans Linda McMahohn and Tom Foley, while he would tie Sam Caligiuri and Peter Schiff.

Despite high-profile visits from President Obama and Vice President Biden in recent months, Dodd's numbers have barely recovered in the year since the Connecticut Democrat first took heat over his involvement in the federal bailout of a string of Wall Street banks.

Dodd, the chairman of the Senate Banking Committee, also faced controversy when news surfaced he had received favorable mortgage terms from now-defunct sub-prime mortgage lender Countrywide Financial. Dodd later severed his relationship with Countrywide to avoid any appearance of impropriety.

"If I were the Democratic chairman I would sit down with Chris and indicate to him that for the good of the party he should withdraw… he is going to be a drag on the ticket," Marcus also said.

A Connecticut Democrat tells CNN the comments are the result of ongoing sour grapes between the two men after Dodd tried to oust Marcus as party chair almost 10 years ago.

"Ed who? To be honest, it's embarrassing for Ed Marcus that he's still holding a grudge against Senator Dodd based his own ineptitude as State Party Chair nearly a decade ago," Howser said. "Ed's judgment in the past has been questionable at best, and he's in no place to be playing judge and jury with anyone."

Washington (CNN) - Joe Biden praised Sen. Chris Dodd Friday, but conceded his good friend - one of the Senate's most vulnerable Democrats - is "getting the living hell beat of him."

The vice president made his comments at a fundraiser for Dodd Friday in Hartford, Connecticut. Dodd had been scheduled to accompany Biden at the fundraiser and at event earlier in the day to announce nearly $4 million in federal stimulus funding to replace an aging fire station in East Hartford, but stayed in the nation's capital to work on health care reform legislation and other Senate business.

The five-term senator, who's up for re-election next year and fighting for his political life, was replaced by wife Jackie Clegg Dodd.

The vice president heaped compliments on his fellow Democrat, calling him "the single most gifted legislator in Congress, now that Teddy Kennedy's gone."

Washington (CNN) - Joe Biden praised Sen. Chris Dodd Friday, but conceded his good friend - one of the Senate's most vulnerable Democrats - is "getting the living hell beat of him."

The vice president made his comments at a fundraiser for Dodd Friday in Hartford, Connecticut. Dodd had been scheduled to accompany Biden at the fundraiser and at event earlier in the day to announce nearly $4 million in federal stimulus funding to replace an aging fire station in East Hartford, but stayed in the nation's capital to work on health care reform legislation and other Senate business.

The five-term senator, who's up for re-election next year and fighting for his political life, was replaced by wife Jackie Clegg Dodd.

The vice president heaped compliments on his fellow Democrat, calling him "the single most gifted legislator in Congress, now that Teddy Kennedy's gone."

Washington (CNN) - Joe Biden heads to Connecticut Friday to help out one of the Senate's most vulnerable Democrats.

The vice president is teaming up with Sen. Chris Dodd in East Hartford, Connecticut to announce nearly $4 million in federal stimulus funding to replace an aging fire station. Later in the day, Biden is scheduled to join Dodd at a private fundraiser in Hartford for the embattled five-term senator, who's up for re-election and fighting for his political life.

The Senate Banking Committee chairman saw his approval ratings plunge late last year and early this year, following last year's Wall Street and banking industry financial meltdown, Dodd's involvement in the AIG bonus controversy, and following questions about mortgages he obtained from a VIP program.

Dodd's poll numbers inched up during the spring and summer after bottoming out earlier this year. But his approval rating slipped back again in a Quinnipiac University survey released last month. The poll also indicated that by 53 percent to 39 percent, Connecticut voters don't think Dodd deserves to be re-elected next year. According to the survey, Dodd is trailing his two potential Republican challengers in hypothetical 2010 general election matchups.